UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
F O R M 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report
January 3, 2002
Abraxas Petroleum Corporation
(Exact name of registrant as specified in its charter)
Nevada
(State of other jurisdiction of incorporation)
0-19118 74-2584033
(Commission File Number) (I.R.S. Employer Identification Number)
500 N. Loop 1604 East, Suite 100
San Antonio, Texas 78232
(Address of principal executive offices)
Registrant's telephone number,
including area code:
210-490-4788
Item 5.OTHER EVENTS
See attached Press Release
The following exhibits are filed as part of this report:
NUMBER DOCUMENT
99.1 Press release dated January 2, 2002
SIGNATURES
Pursuant to the requirement of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ABRAXAS PETROLEUM CORPORATION
By: ___________________________________
Chris Williford
Executive Vice President, Chief Financial
Officer and Treasurer
Dated: January 3, 2002
Exhibit 99.1
ABRAXAS ANNOUNCES $150 MILLION CDN PROJECT FINANCING WITH MIRANT CANADA
ENERGY CAPITAL, LTD.
SAN ANTONIO, TX (January 2, 2002) - Abraxas Petroleum Corporation (AMEX:ABP)
("Abraxas") today announced that its wholly-owned subsidiary, Grey Wolf
Exploration Inc. ("Grey Wolf"), has entered into an agreement with Mirant Canada
Energy Capital, Ltd. ("Mirant") for a $150 million Cdn (approximately $96
million U.S.) project finance facility to fund Grey Wolf's development and
acquisition activities in Canada.
The facility will replace Grey Wolf's existing bank facility and provide funding
initially for as many as 45 wells plus associated land, seismic and
infrastructure costs over the next two years. The facility will be secured by
the assets of Grey Wolf and is non-recourse to Abraxas.
Abraxas' CEO, Bob Watson, commented, "This facility will permit us to greatly
accelerate our development operations in Canada which will allow us to grow
production and reserves at a much greater rate than would otherwise be possible
in the current environment. In addition to providing an independent verification
of the unbooked upside of our Canadian assets, it will also provide us with a
vehicle to pursue favorable acquisition opportunities that may become available.
This financing will help further our stated goal to aggressively develop our
existing asset base while maintaining financial flexibility."
Mirant's Rob Lindermanis, Managing Director, commented, "We are pleased to
expand our relationship with Abraxas into Canada with the Grey Wolf facility.
Grey Wolf has a number of exciting opportunities and we look forward to
participating in their future growth in Canada."
Abraxas Petroleum Corporation is a San Antonio-based crude oil and natural gas
exploitation and production company that also processes natural gas. The Company
operates in Texas, Wyoming and western Canada. Please visit
www.abraxaspetroleum.com for the most current and updated information. The web
site is updated daily to comply with the SEC Regulation FD (Fair Disclosure).
Safe Harbor for forward-looking statement: Statements in this release looking
forward in time involve known and unknown risks and uncertainties, which may
cause the Company's actual results in future periods to be materially different
from any future performance suggested in this release. Such factors may include,
but may not be necessarily limited to, changes in the prices received by the
Company for crude oil and natural gas. In addition, the Company's future crude
oil and natural gas production is highly dependent upon the Company's level of
success in acquiring or finding additional reserves. Further, the Company
operates in an industry sector where the value of securities is highly volatile
and may be influenced by economic and other factors beyond the Company's
control. In the context of forward-looking information provided for in this
release, reference is made to the discussion of risk factors detailed in the
Company's filing with the Securities and Exchange Commission during the past 12
months.
FOR MORE INFORMATION CONTACT:
Janice Herndon/Manager Corp. Communications
Telephone 210.490.4788
jherndon@abraxaspetroleum.com
www.abraxaspetroleum.com